An Evaluation of Financial Management System in Gulati Institute of Finance and Taxation an Autonomous Institution, Thiruvananthapuram, Kerala

Abstract

Finance being an important function of business, is very crucial to meet various financing and investment activities in it. The wide scope of financial management should be considered to include three major finance functions like investment decisions, financing decisions and dividend decisions respectively. In all organizations financial management system involves a sound judgment, combines with a logical approach to decision making. Different alternatives having different implications are available to a business enterprise in the process of decision making. Gulati Institute of Finance and Taxation is an organization that is specialized in research, training, consultancy and provision of fiscal and social policy inputs to the Government of Kerala and the South Indian states in general. Financial management system in GIFT will not only determine the performance of the GIFT but will contribute much towards the transparency and accuracy of the institute. So its the need of the hour to evaluate the performance of Computerized Accounting System especially its reliability and consistency part considering its use by the various stakeholders. An effective financial reporting system in any organization requires a well designed defect free system along with the trained staff and sound accounting and information system. The study in this organization was conducted to analyse the effectiveness of financial management practices followed in GIFT and based on the analysis and discussion of the data evaluated, to give appropriate suggestions to GIFT for the betterment of financial management practices. The study is descriptive and analytical in nature and it is a fact finding study. The data used for Analysis is the Audited Financial Statements of GIFT for the financial years 2012-13 to 2015-16. The present work entitled “An Evaluation of Financial Management System in Gulati Institute of Finance and Taxation, Thiruvananathapuram was conducted for a period of 2 months. The study was organized mainly to study the Financial Management System of the organization. The data for the study were collected through secondary sources. With the help of several tools the data were easily interpreted. The objectives of the study have been accomplished with the help of primary data collected from the administrative of the GIFT.